BSE:512070

Stock Analysis Report

Executive Summary

UPL Limited manufactures and markets crop solutions worldwide.

Snowflake

Fundamentals

Established dividend payer with reasonable growth potential.


Similar Companies

Share Price & News

How has UPL's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 512070 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-7.7%

512070

-2.9%

IN Chemicals

-1.5%

IN Market


1 Year Return

5.2%

512070

8.9%

IN Chemicals

3.8%

IN Market

Return vs Industry: 512070 underperformed the Indian Chemicals industry which returned 8.9% over the past year.

Return vs Market: 512070 exceeded the Indian Market which returned 3.8% over the past year.


Shareholder returns

512070IndustryMarket
7 Day-7.7%-2.9%-1.5%
30 Day-8.2%0.8%4.1%
90 Day-2.5%8.8%7.4%
1 Year6.0%5.2%11.6%8.9%5.9%3.8%
3 Year34.1%30.4%59.2%52.7%34.7%27.6%
5 Year138.1%127.3%117.2%100.7%37.0%31.1%

Price Volatility Vs. Market

How volatile is UPL's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is UPL undervalued compared to its fair value and its price relative to the market?

15.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 512070 (₹535.5) is trading below our estimate of fair value (₹633.83)

Significantly Below Fair Value: 512070 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 512070 is poor value based on its PE Ratio (43.8x) compared to the Chemicals industry average (10.8x).

PE vs Market: 512070 is poor value based on its PE Ratio (43.8x) compared to the Indian market (13.2x).


Price to Earnings Growth Ratio

PEG Ratio: 512070 is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: 512070 is overvalued based on its PB Ratio (2.8x) compared to the IN Chemicals industry average (1.1x).


Next Steps

Future Growth

How is UPL forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?

37.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 512070's forecast earnings growth (37.2% per year) is above the savings rate (7.6%).

Earnings vs Market: 512070's earnings (37.2% per year) are forecast to grow faster than the Indian market (19% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 512070's revenue (9.1% per year) is forecast to grow slower than the Indian market (11.4% per year).

High Growth Revenue: 512070's revenue (9.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 512070's Return on Equity is forecast to be high in 3 years time (20.1%)


Next Steps

Past Performance

How has UPL performed over the past 5 years?

8.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 512070 has a high level of non-cash earnings.

Growing Profit Margin: 512070's current net profit margins (3.2%) are lower than last year (11.4%).


Past Earnings Growth Analysis

Earnings Trend: 512070's earnings have grown by 8.8% per year over the past 5 years.

Accelerating Growth: 512070's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 512070 had negative earnings growth (-55.3%) over the past year, making it difficult to compare to the Chemicals industry average (14.1%).


Return on Equity

High ROE: 512070's Return on Equity (5.9%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is UPL's financial position?


Financial Position Analysis

Short Term Liabilities: 512070's short term assets (₹265.0B) exceeds its short term liabilities (₹162.5B)

Long Term Liabilities: 512070's short term assets (265.0B) do not cover its long term liabilities (303.1B)


Debt to Equity History and Analysis

Debt Level: 512070's debt to equity ratio (173.4%) is considered high

Reducing Debt: 512070's debt to equity ratio has increased from 53.6% to 173.4% over the past 5 years.

Debt Coverage: 512070's debt is not well covered by operating cash flow (13.1%).

Interest Coverage: 512070's interest payments on its debt are well covered by EBIT (3.4x coverage).


Balance Sheet

Inventory Level: 512070 has a high level of physical assets or inventory.

Debt Coverage by Assets: 512070's debt is not covered by short term assets (assets are 0.9x debt).


Next Steps

Dividend

What is UPL's current dividend yield, its reliability and sustainability?

1.00%

Current Dividend Yield


Dividend Yield vs Market

company1.0%marketbottom25%0.6%markettop25%2.4%industryaverage0.9%forecastin3Years1.5%

Current dividend yield vs market & industry

Notable Dividend: 512070's dividend (1%) is higher than the bottom 25% of dividend payers in the Indian market (0.57%).

High Dividend: 512070's dividend (1%) is low compared to the top 25% of dividend payers in the Indian market (2.42%).


Stability and Growth of Payments

Stable Dividend: 512070's dividends per share have been stable in the past 10 years.

Growing Dividend: 512070's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (43.6%), 512070's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 512070's dividends in 3 years are forecast to be well covered by earnings (16.2% payout ratio).


Next Steps

Management

What is the CEO of UPL's salary, the management and board of directors tenure and is there insider trading?

16.1yrs

Average board tenure


CEO

Jai Rajnikant Shroff (54yo)

0yrs

Tenure

0

Mr. Jaidev Rajnikant Shroff, also known as Jai, B.Sc., is a Promoter of Pacific Seeds (Thai) Ltd. Mr. Shroff has been Group Chief Executive Officer and Non-Executive Director at UPL Limited (formerly known ...


Board Age and Tenure

16.1yrs

Average Tenure

65yo

Average Age

Experienced Board: 512070's board of directors are seasoned and experienced ( 16.1 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Buy₹1,897,32020 Aug 19
Rachna Chandiramani
EntityIndividual
Shares3,280
Max Price₹578.45
Buy₹506,00020 Aug 19
Ajit Premnath
EntityIndividual
Shares1,000
Max Price₹506.00
Buy₹506,00020 Aug 19
Neerja Premnath
EntityIndividual
Shares1,000
Max Price₹506.00
Sell₹25,724,02630 May 19
Kalyan Mohan Banerjee
EntityIndividual
Shares37,365
Max Price₹688.45
Sell₹2,342,00025 Mar 19
Shilpa Shroff
EntityIndividual
Shares3,750
Max Price₹624.53
Sell₹3,266,91025 Mar 19
Hardeep Singh
EntityIndividual
Role
Member of the Board of Directors
Independent & Non-Executive Director
Shares5,250
Max Price₹622.27
Sell₹6,218,40926 Feb 19
Kalyan Mohan Banerjee
EntityIndividual
Shares11,250
Max Price₹552.75

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Jai Rajnikant Shroff (54yo)

    Global CEO & Non-Executive Director

    • Tenure: 0yrs
  • Arun Ashar (71yo)

    Director of Finance & Executive Director

    • Tenure: 26.7yrs
    • Compensation: ₹30.30m
  • Rajju Shroff (86yo)

    Executive Chairman & MD

    • Tenure: 0yrs
    • Compensation: ₹133.30m
  • Vikram Shroff (45yo)

    Executive Director

    • Tenure: 13.6yrs
  • K. Srivastava (61yo)

    Chief Operating Officer of Specialty Chemicals

    • Tenure: 0yrs
  • Farokh Hilloo (57yo)

    Chief Commercial Officer

    • Tenure: 0yrs
  • Sanjay Singh (51yo)

    Global Chief Human Resource Officer

    • Tenure: 0yrs
  • Vidya Kaushik (67yo)

    Global Head of Corporate Affairs & Industry Relations

    • Tenure: 8.6yrs
  • Rohit Kumar (40yo)

    Global General Counsel

    • Tenure: 0yrs
  • A. Balaji (51yo)

    Chief Information Officer

    • Tenure: 0yrs

Board Members

  • Jai Rajnikant Shroff (54yo)

    Global CEO & Non-Executive Director

    • Tenure: 0yrs
  • Arun Ashar (71yo)

    Director of Finance & Executive Director

    • Tenure: 26.7yrs
    • Compensation: ₹30.30m
  • Rajju Shroff (86yo)

    Executive Chairman & MD

    • Tenure: 0yrs
    • Compensation: ₹133.30m
  • Sandra Shroff (79yo)

    Non-Executive Vice Chairman

    • Tenure: 0yrs
  • Pradeep Goyal (64yo)

    Non-Executive Independent Director

    • Tenure: 17.8yrs
    • Compensation: ₹1.40m
  • Reena Ramchandran (78yo)

    Independent Non Executive Director

    • Tenure: 16.1yrs
    • Compensation: ₹1.28m
  • Hardeep Singh (65yo)

    Independent & Non-Executive Director

    • Tenure: 4.8yrs
    • Compensation: ₹1.33m
  • Vikram Shroff (45yo)

    Executive Director

    • Tenure: 13.6yrs
  • Vasant Gandhi (65yo)

    Independent & Non-Executive Director

    • Tenure: 4yrs
    • Compensation: ₹1.33m
  • Usha Monari

    Additional Independent & Non-Executive Director

    • Tenure: 0yrs

Company Information

UPL Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: UPL Limited
  • Ticker: 512070
  • Exchange: BSE
  • Founded: 1969
  • Industry: Fertilizers and Agricultural Chemicals
  • Sector: Materials
  • Market Cap: ₹413.222b
  • Shares outstanding: 764.02m
  • Website: https://www.uplonline.com

Number of Employees


Location

  • UPL Limited
  • UPL House, 610 B/2
  • Bandra Village
  • Mumbai
  • Maharashtra
  • 400051
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
512070BSE (Mumbai Stock Exchange)YesEquity SharesININRMay 1996
UPLNSEI (National Stock Exchange of India)YesEquity SharesININRMay 1996

Biography

UPL Limited manufactures and markets crop solutions worldwide. The company operates in two segments, Agro Activity and Non-agro Activity. It offers sorghum, forages, corn, canola, sunflower, vegetable, ric ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/14 12:41
End of Day Share Price2019/11/14 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.